Vanguard Mortgage-Backed Securities ETF (VMBS)

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Government-backed mortgage securities represent a cornerstone of the American fixed-income market, offering yields above Treasury bonds while maintaining high credit quality. This fund invests exclusively in mortgage-backed securities issued by government agencies and government-sponsored enterprises, effectively eliminating credit risk while capturing the income potential of the housing finance sector. With Vanguard's characteristically low fees and monthly distributions, investors gain efficient exposure to this $8 trillion market segment that has historically provided portfolio stability during equity market turbulence.